MEANING & CHARACTERISTICS OF A COMPANY
A company is created by
Companies Act
What did Shareholders receive from the company ?
Dividend
Authorised Capital of a company is mentioned in :
Memorandum of Association
Public subscription of shares include :(3 steps)
To issue prospectus, To receive application and To make allotment
The balance of the forfeited shares account after re-issue of forfeited shares is transferred to
Capital Reserve A/c
Who are the real owners of a company ?
Equity shareholders
A preference share which does not carry the right of sharing in surplus profits is called ?
Non- Participating Preference Share
Which of the following is not shown under the heading 'Share Capital' in a balance sheet :
Reserve capital
According to Companies Act, Minimum subscription has been fixed at _________ % of the issued amount.
Voluntary return of shares for cancellation by the shareholders is called
Surrender of Shares
Maximum number of members in a private company is :
200
Which shareholders are returned their capital after some specified time :
Redeemable Preference shares
Shares issued by a company to its employees or directors in consideration of 'Intellectual Property Rights' are called :
Sweat Equity Shares
Share Application Account is in the nature of :
Personal Account
Balance of share forfeiture account is shown in the balance sheet under the head
Share Capital Account
The liability of a members in a company is :
Limited
Which shareholders have a right to receive the arrears of dividend from future profits :
Cumulative Preference Shares
In the Balance sheet of a company, under the heading share capital, at the last is shown :
Subscribed Share capital
As per SEBI guidelines, application money should not be less than ______ % of the issue price of each share.
25 %
If a share of Rs.10 issued at a premium of Rs.3 on which the full amount has been called and Rs.8 (including premium) paid is forfeited the capital account should be debited with :
Rs.10
A company has
Separate legal entity, Perpetual Existence, Limited Liability
Unless otherwise stated, a preference share is always deemed to be :
Cumulative, non- participating and non - convertible
In case of Private placement of shares and company does not invite the general public for subscription of shares in that case, company instead of issuing prospectus :
Prepares the statement in the Lieu of Prospectus
Premium on the issue of shares should be shown (which side in balance sheet)
On the Equity & Liabilities side of balance sheet
A Company forfeited 1000 shares of Rs.10 each fully called, on which Rs.6000 has been paid. out of these 800 shares were reissued upon payment of Rs.6600. What is the amount to be transferred to capital reserve ?
Rs.3,400